Question 52 of 75. Under a partnership agreement, Sarah is to receive a minimum payment consisting of the greater of $12,000 per year or a maximum of 25% of profits. The partnership's net income for this year was $32,000. What amount can the partnership deduct as a guaranteed payment, and what amount of income is Sarah required to report on her individual tax return? Partnership Deduction: $4,000. Sarah Income: $12,000 Partnership Deduction: $4,000. Sarah Income: $20,000. Partnership Deduction: $12,000. Sarah Income: $8,000 Partnership Deduction: $12,000. Sarah Income: $20,000 Mark for follow up Mona owns a rental house that she has rented to various tenants since September of 2001. The backyard fence fell into disrepair in June of 2019. She had it replaced June 27, 2019, for $8,399. If Mona elects to opt out of special depreciation for the new fence, what is the amount of current depreciation for this asset? $157